Money isn't everything duffy
I suppose the dealers get better cent per kg than joe soap by larry .thing that is worrying alright is you get a higher price if more than the lads around the ring are bidding .
I heard once that they have a system at the start of the sale .The first fat cow is yours , the boner is mine , the feeder is his .Then that covers the expenses for the day .
A farmers best friend if not his only one is his pocket. Business is exactly that business. If he was giving you a good price I imagine the next day she did not make as much. IMO dealer's made good money years ago margins are too tight now. If you are not making money you reduce stocking levels to reduce losses which lads are doing so dealer's that rtry for too high a margin are going out of business very fast.
There is only a thin line between a dealer and a finisher. Most large finisher's are around the ring every day as well. Little difference between them as they will both turn you over. I am onlyin the game small time but for me to make a profit some one else has to make a loss.Yes there isba few making serious money that are both agents and are tangling as well but there is only a few that are in that league.. I think I will stay the way I am.
I think the mart or factory is a great ease as I could not deal with olden times of street trading and all the lark .can you imagine having to go through all that . Horse trading omg
TBH margins are too tight. Lads that lose money are reducing stocking levels and drawing payments. Taking to a lad with 150 acres sold heavy Friesian's a month ago 36-48 month no meal very limited silage, he works as well. He was locked up by Board Bia QA for nearly 12 month. Bought mixed stores for 600ish euro beroreChristmass off DD. HEx, FR, AA, JEx LMx and a BB and SIM. Plainer cattle were heavier. His attitude now whenever they are hitting 1300+ he is going to send that bunch to the factory. F@@k the AA and the HE scheme if he gets it he gets it. Keep costs down and try to turn over 40ish cattle a year no shed very little nuts and limited silage. No capital tied up in cattle no dealer and transportation costs he expects to make 14-18k with his SFP with little time and no capital tied up. Small money for land involved but it is a bit mixed with some rushy land.
These dealers know the exact value of every animal that goes through the ring. They bid on everything but drop out of most. They're terrible feckers for starting cattle too low. That's what annoys me most with them.
An agent friend of mine confirmed that system exists wholesale and if one of them breaks ranks he is out in the cold. That's life thats their business I suppose.
You also have to blame the auctioneers for going so low .take a cow tries to start her at 600 before you know it you are at 400 and along haul up to sell at 630 .auctioneers know the value and should pass her by at 500 and move on .They won't be long getting the message. They really pull the mick .
I agree but the auctioneer must play ball too...I saw a northern buyer arrive in mart one day and he was prepared to pay more for stock. All the dealers walked out and left the northern buyer on his own at the ring.
I.ve seen them in action down our way, they all work together. They have it split up between them and stick there hand into the ring as the cattle come off the weighbridge to mark them..
The other model is lad buying cattle on order and charging €x/hd for buyin and delivery.. fixed margin, more cattle turned over the better... only lads making money..
Used to work in one of the major marts in tipp for about 15 yrs.the heifer ring in particular used to be such a no mans land trying to beat the dealers.in particular the cull cows,u take this one and i will have the next one.yrs ago i had about 15 cull cows for sale one day.knowing how they would behave i decided to bunch them in a lot of 7 and 8.lets just say it didn't go down too well.the following monday while having my dinner one of the dealers sat with us and started giving out about lads putting big bunch of culls together.when i used to work on the chutes in the morning u would try to encourage lads to put culls together.some would take the advice and put ones the same together while others would look at u as if u were mad.
The problem I see with big bunches is that it excludes a small buyer from completing .
I see a large buyer in North kerry and when the cows are in the ring selling he has his hand in 5 fingers open out and continue to move his hand slightly for long periods of time .he's not biding because when he does buy you wouldn't he know it except hear his name called by auctioneer .what does this all hand in waving mean .its happens alot through out the sale
A lot of these dealers are full of sh1te. Follow them out when they are loading and see how many they buy. I know a lot of big buyers in marts I go to and you wouldn't even know they are buying. Pure gentlemen too and all they are moving is the little finger. Regulars at these marts would know the state of play and just ignore any hand waving in the ring. Saw 2 dealers in my local mart have a shouting match there a while back. Manager had to come out, take the mic from the auctioneer and give out hell to them. So as Bobcharles used to say on here, all these dealers are competing with each other. They are not exactly the best of friends. No secret code or anything
The market value of an animal is what is the final bid. Too many lads selling cattle expect to get the top prices quoted in the paper for cattle sold last week. Dealers set the market because in some mart's they buy 70+% of the cattle. I generally buy in a dealer mart and about 30+% of the cattle I see no margin in. Dealer no longer have the control lads think. 4movements for QA is limiting there ability to bull prices on 20-30% of the cattle. This idea that auctioneers can force cattle to be opened at a certain price is ludicrous. It is not just dealers that open the price it is farmers as well. If I am bidding I usually open earlier than dealers so as to limit the dealers that come in on top of me. I open cattle that I am not interested I. And let the dealers fight it out for them. It pisses of the auctioneer at times.
If the cattle belong to a dealer I will open as low as I can. Last November I was at the mart. A bunch of mixed light 16_18 month old stores came in. They were on the light side at 370kgs and looked hungry. The auctioneer tried to open them at 650 euro and they were dropping and dropping,at 480 I put up 4 fingers indicating a bid of 400 but expecting to be put in at 440. Now the auctioneer know me to an extent so he put the bid in at 400 and they took of I got back in at 430 and then put my hands in my pocket. They went to a bid or too short of 500 auctioneer was splitting the fivers at the time and looking at me. But I was not interested. I bought them after the mart landed in the yard for 475 I think.
On bunching cattle,single cattle favour dealers. No farmer wants to be hauling a single animal home going around the mart looking for a dealer/ trucker near you to drop him off. If you buy a bunch of 2 or 3 early you can add singles to the bunch and make up a par load to reduce transportation costs. That day I bought over20 cattle and haulage worked out at 8-9/ head.